Operations Management
Operations Management
11th Edition
ISBN: 9780133148787
Author: HEIZER
Publisher: PEARSON
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Chapter 16, Problem 10P

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••• 16.10 Rick Wing has a repetitive manufacturing plant producing automobile steering wheels. Use the following data to prepare for a reduced lot size. The firm uses a work year of 305 days.

Annual demand for steering wheels 30,500
Daily demand 100
Daily production (8 hours) 800
Desired lot size (2 hours of production) 200
Holding cost per unit per year $10
  1. a. What is the setup cost, based on the desired lot size?
  2. b. What is the setup time, based on $40 per hour setup labor?
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Question 3   Yellow​ Press, Inc., buys paper in​ 1,500-pound rolls for printing. Annual demand is 2,750 rolls. The cost per roll is ​$875​, and the annual holding cost is 28 percent of the cost. Each order costs ​$75.   How many rolls should Yellow Press order at a​ time? _______________rolls at a time. ​(Enter your response rounded to the nearest whole​ number.)   What is the time between​ orders? (Assume 200 workdays per​ year.) __________________days. ​(Enter your response rounded to one decimal​ place.)
question 4 ​Babble, Inc., buys 375 blank cassette tapes per month for use in producing foreign language courseware. The ordering cost is ​$11.75.Holding cost is ​$0.10 per cassette per year. a. How many tapes should Babble order at a​ time? Babble should order_______  tapes at a time. ​(Enter your response rounded to the nearest whole​ number.)   b. What is the time between​ orders? The time between orders is_______ months. ​(Enter your response rounded to one decimal​ place.)
QUESTION 3Warehousing is an important contributor to both productivity management and quality in a manufacturing industry. (a) Discuss symptoms of inefficient material handling in a warehouse.The following information is provided; Stock keeping unit(SKU) | Number of PalletsSKU 010                                         4            SKU 020                                         6 SKU 030                                        14 SKU 040                                         8 SKU 050                                         5 The pallets are being stored 3 high. Calculate: i. The number of pallet positions required to store the full consignment? ii. The percentage space utilisation in this warehouse.
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